Southeast Asian real estate market is expected to continue the hot trend.

In recent years, real estate marlets in Southeast Asian countries such as Thailand, Vietnam and Cambodia have been booming, and there is no sign of weakening housing development and investment.

In it's latest Asia-Pacific (Emerging Trends in Real Estate ),Pricewaterhouse Coopers uses the term''extreme abundance'' to describe the influx of funds into Southeast Asia. Singapore was ranked by respondents as the most attractive Asian city for investment, with home sales surging by 50% last year.

Today, other residential markets in Southeast Asia are also emerging. In Thailand, for example, the number of inquiries from Chinese buyers for property in the country soared 91% year-on year, with Chiang Mai,Bangkok and Phuket attracting particular attention. Meanwhile ,Chinese buyers are investing heavily in coastal cities in Southeast Asia, such as Sihanouk city in Cambodia, which experts predict will become tourist centers in the future.

In Vietnam, the rapid growth of gross domestic product and the prosperous development of tourism herald an upward trend in the luxury housing market. Pricewaterhouse Coopers reports that investors are confident that Ho Chi Minh City's economic growth will ultimately drive up house prices as rents rise significantly.

Although the rapid growth of Southeast Asian market has lasted for some time, it is still a good investment opportunity.Considering the larger infrastructure projects under construction and the investment boom from China and other foreign buyers, the region is still highly likely to continue to appreciate.

With rent levels in Ho Chi Minh City rising significantly, investors are confident that the country's economic growth will eventually drive up house prices.

"These countries are emerging markets, so they may not be as stable as the U.S. housing market," said Carrie Law, CEO and director of Juwai.com, the world's largest Chinese overseas housing portal. In Thailand, Malaysia or Vietnam, you can't expect the real estate market to show a straight upward trend for a long time. "

Nevertheless, the economic growth of these countries and the government's investment in infrastructure mean that buyers can still foresee significant changes in the market and huge investment potential in the coming years.

Luo said: "Ho Chi Minh City is known as"New Beijing", while Phnom Penh is reminiscent of New York in the 1980s. These economies are undergoing major transformation, shaking off the old backward system and moving towards a new stage of greater prosperity and prosperity. "

｜Multiple Indicators Indicating Continuous Growth of Southeast Asian Market

The surge in foreign buyers'interest is considered to be one of the most powerful indicators of the rising real estate market in Southeast Asia, in which Chinese buyers have contributed.

Under the guidance of the policy of "one belt and one road", China has invested a lot of money to support the infrastructure construction of the countries along the ancient Silk Road. This will help promote the development of Southeast Asia. According to Bloomberg News Agency, Japan has surpassed China in funding infrastructure projects in the Philippines and Vietnam.

Janet Minard, president of real estate company Jansam Capital, Inc., said: "Considering geopolitical factors, you need to analyze the real estate market in Southeast Asia from a global perspective. At present, a large influx of funds from China and Japan is pouring into the region, as if overnight there were Chinese people everywhere. "The company is developing a residential project in Cambodia.

Overseas funds have helped many Southeast Asian countries to strengthen their national economy. Thanks to the advanced transportation system, the upgraded road system and the new airport facilities, a large number of tourists, businessmen and real estate investors came in.

Yasushi Yamada, Asia-Pacific head of List Sotheby's International Realty, a real estate agency, said: "Because of the overall economic growth in the Asia-Pacific region, most of the residential market in the region is still hot. "He noted that the markets in Thailand, the Philippines and Vietnam were particularly strong.

Chris Liem head and owner of （Engel & Völkers Hong Kong）, notes

that Vietnam has the most promising real estate market in Southeast Asia.

"Vietnam is becoming a popular investment destination because of many positive factors, such as favorable government policies, good economic prospects, high-quality commodity exports and young population structure," Liem said. "

He also noted that Thailand's real estate market has also performed well, especially in the capital Bangkok.

Since 2015, Chinese buyers have invested $10 billion in Thai apartments, which has directly boosted Bangkok's market boom. In addition, with the construction of public transport network, residential developers are rushing to buy land along the new railway.

In addition to the growing demand from overseas investors, there are other signs that the Southeast Asian market will maintain strong momentum. For example, the demographic structure of the region can ensure that the pace of growth and development gradually accelerates.

"Demographic data show that China has a large number of young people, indicating that there is room for future price growth to be expected," Liem said. "

Looking beyond China, the average age of the population in Southeast Asia is younger, which augurs well for the domestic real estate market, because young people have to consider renting or buying houses as adults.

Yamanda points out that the average age of the population in Southeast Asian countries is mostly around 20 years old. Compared with the urbanization process in developed countries, most of the major cities in the region lag far behind, which means that even in the important urban centers of Southeast Asia, there is still ample room for development.

｜Overseas investment lays the cornerstone of long-term development in Southeast Asia

The rapid development of the region may make some potential investors wonder whether this boom will suddenly begin and then disappear in a hurry. But experts predict that the real estate market in Southeast Asia will maintain a long-term positive trend.

After a series of economic crises, including the devaluation of Asian currencies in the late 1990s and the global recession that swept through the world in 2008, Yamada said that Southeast Asia had taken measures to protect itself from similar difficulties.

He said: "Southeast Asian countries have learned a lot from these challenges. Today, the political and economic environment, rules and regulations, laws and regulations have been significantly improved and improved to cope with a wide range of problems. I think that means we have reason to expect stronger growth in the region. "

n addition, China's "belt and road initiative" is promoting economic growth in Southeast Asia, and experts expect that many countries along the route will benefit from it in the years to come.

Liem said: "this cooperation framework aims at developing investment channels along the" one belt and one way "countries, thereby creating new trade opportunities and strengthening economic ties between the two sides. As Thailand and Vietnam are both located on the Maritime Silk Road, we predict that both countries will maintain strong momentum for a long time. "

Meanwhile, Cambodia has benefited greatly from its strategic position, and Phnom Penh is developing into a hub in Southeast Asia. A large number of investors from China, East Asia and Southeast Asia rushed to buy high-rise apartments and luxury houses in the Cambodian capital.

Sam Suzuki, chairman of Jansam Capital, said: "Cambodia's GDP has grown by an astonishing 6.9%. In the first half of 2018, a large amount of money was injected into the local market, of which $2.15 billion went to the construction industry, while land prices rose rapidly. "

n Singapore, although the government has introduced measures to cool the property market to avoid the risk of runaway house prices, the city-state is still very attractive to local and foreign investors in view of the considerable real estate investment returns in recent years.

Luo said that although there are some fluctuations in developing markets, including Southeast Asian countries, it will not affect the "economic take-off" of the region in any way. "At present, governments are investing heavily in infrastructure construction. The" one belt initiative "will create more investment opportunities, and the growing middle class group will also lead to economic growth, she said. In addition, Southeast Asian governments have been playing a forward-looking leadership role in politics and regulation. "

｜The ownership structure of housing in Southeast Asian countries is different.

n addition to potential capital gains and the need for diversification, Yamada said, a comfortable lifestyle is also a big factor in attracting investors.

He said: "For some people, the exotic, cultural and warm atmosphere of Southeast Asia is full of infinite charm. Apart from Singapore, which is a metropolis in the world, the cost of living in other areas is quite reasonable. "

Yamada adds that although the cost of living is relatively high, Singapore has a low tax policy, in which inheritance and gifts, as well as the proceeds of most assets, are excluded from taxation. After farewell to the recent downturn, Singapore's real estate market showed signs of recovery. In 2017, local house prices rose by 5.2% year-on-year. The average square foot price of downtown housing was about 2119 Singapore dollars (about ￥10649 ).

Minard also believes that for buyers, intangible values such as cultural heritage and natural scenery are the charm of Southeast Asian countries.

She said: "I compare Cambodia to a precious gem, but also the heritage of Southeast Asian culture. Since the opening of tourism in the 1990s, the country's political situation has become increasingly stable, with a large number of backpackers and tourists from developed countries coming to visit. Nowadays, the quality of life in the area has improved significantly, and many five-star resorts and shopping centers are being constructed. "

Overlooking the coastal scenery of Sihanouk City, Cambodia

Property Report, the real estate media, pointed out in an analysis that coastal areas such as Sihanouk City in Cambodia have attracted many investors seeking leisure life ,but these buyers may face regulatory and corruption risks.

In addition, foreign buyers may encounter some policy and institutional challenges, depending on the country. For example, in Thailand, Cambodia and the Philippines, overseas investors can acquire ownership of property but cannot own the land where the property is located; in Malaysia, foreign citizens have a minimum price limit for housing purchased; in Vietnam, the land is collectively owned, but foreign companies can buy the right to use the land and build houses on it.

Despite many obstacles, in the long run, the buyer's investment will eventually be rewarded.

For investors in Western countries, the ownership structure is slightly different," Liem said. Nevertheless, the law is changing and foreign buyers are allowed to own apartments. Buyers who are willing to take on higher risks usually have the opportunity to earn greater returns on their investments.